Things Traders Should Be Aware Of After ATH CRO Crashes
Crypto.com Coin (CRO), currently the 16th largest coin by market cap, made headlines in November when its price soared more than 350% in one month. The price of CRO increases with its popularity.
In the final quarter of 2021, Crypto.com announced partnership agreements with a number of soccer clubs and now owns the naming rights to LA Lakers’ Staples Center under a $ 700 million deal. This promotional strategy, along with the excitement of retailers and the announcement of the CRO listing on the Coinbase exchange, has resulted in the token price skyrocketing.
CRO hit a new ATH at USD 0.96 in the last week of November, but after that, interest and confidence around the token began to decline and CRO’s trading volume started. In fact, after the market slump in early December, the coin lost about 44% of its value from its ATH.
For the past 40 days, the price of Crypto.com Coin has been in a sharper downtrend.
CRO price table | Source: TradingView
The way forward
CRO’s market cap is currently $ 14.32 billion, down nearly 35% from its ATH of $ 22 billion.
Market capitalization CRO | Source: Messari
However, as new developments take place in the field, such as Crypto.com becoming a Gold Member of the Singapore Blockchain Innovation Program, it still has the potential to attract the attention of the crypto community and lead to a rebound in the Token price.
Additionally, the Cronos test network recently completed 15 million transactions during the Cassini test incentive event. However, the network currently has a relatively small number of users if the number of active addresses has decreased by 26.85% in 7 days and the number of new addresses has also decreased by 23.72% due to poor network performance.
Number of addresses in the network | Source: IntoTheBlock
Things have to be taken into account
Looking at the inflows and outflows of the CRO network, it should be noted that reaching the median price of USD 0.658 will be important in order to reduce the pressure on the seller side. Over 15,000 addresses for a total of 3.18 billion CRO will be profitable if the price breaks this level.
Cash flow in / out of the network | Source: IntoTheblock
In particular, institutional and private interest in altcoins has subsided as trading volumes and volumes have declined in recent weeks.
CRO will need a boost from retail and institutional investors to get back on its feet in the short term. However, as the Sharpe ratio rebounds, a reversal in positive territory could signal a rebound in token price, making it a good investment over the medium term.
For now, during this boring time, the token needs some support from retailers to trigger price actions in the right direction.
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